New data from Tech Nation and Dealroom found that VC investment in UK AI companies hit a record in Q2 2022 and is on track to at least equal last year. Around 2,009 AI companies are based in the UK, the AI capital of Europe. Last year saw a record investment of £6.6 billion flow into UK AI companies. In 2022 so far, £3.2 billion has been invested. Tech Nation notes that investment into AI firms is historically "loaded towards the end of the calendar year" and is on track to "at least equal" last year.

New data from Tech Nation and Dealroom found that VC investment in UK AI companies hit a record in Q2 2022 and is on track to at least equal last year. Around 2,009 AI companies are based in the UK, the AI capital of Europe. Last year saw a record investment of £6.6 billion flow into UK AI companies. In 2022 so far, £3.2 billion has been invested. Tech Nation notes that investment into AI firms is historically "loaded towards the end of the calendar year" and is on track to "at least equal" last year. A record-setting Q2 was achieved in 2022 with £746.93 million invested, which could be a good sign for the rest of the year.

The UK tech industry is booming, with startups raising more than £29bn in 2021. But some sectors are booming more than others. Recent data shows that UK energy tech startups are struggling to scale compared to other areas, such as fintech and AI. There are 950 energy tech companies in the UK and yet 47.6% of them are "stuck" at the seed investment stage, according to a report by entrepreneur network Tech Nation. Crucially, the'Emerging Energy Tech Report' found that for every UK energy tech startup at a seed or early growth stage, just 0.2 make it to a late-stage company.

Priya Lakhani was just days away from a crucial moment in the life of her start-up, Century Tech, an education firm which uses artificial intelligence to track a pupil's progress. She had a signed term sheet from an investor, which is a big deal in the start-up world, as it typically confirms a substantial investment and lays out the commercial and legal terms of that deal. But on 21 March, amid growing concern over coronavirus and with just 10 days to go before completion of the funding round, Century Tech's investor pulled out, leaving Ms Lakhani and her team worried about what would happen next. Term sheets are not usually legally binding, and pulling funding at such a critical point can leave start-ups in a precarious position. At the time, the government was yet to announce any help for start-ups specifically, but it soon did with its coronavirus Future Fund, which enables UK-based start-ups to apply for government loans ranging from £125,000 to £5m, subject to at least equal match funding from private investors.

Founded in 2017 by tech entrepreneur Paul Hallett, experienced vet Robert Dawson and vet dermatologist Sarah Warren, the early-stage company is looking to bring vet care in line with some of the groundbreaking innovations seen in the human health sector. Vet AI recently partnered with pet insurer Animal Friends to offer its customers free access to its smartphone app. Called Joii, it lets owners check their animal's symptoms and receive instant advice from qualified vets on treatment through free online video consultations, which would usually cost £20 per call. Joii will advise users to visit a vet clinic if necessary, or it may decide that no action needs to be taken. The company has collaborated with a number of partners both internally and externally to develop its offering.

Speaking of the future of AI, Tech Nation is collaborating with Teens in AI, an Acorn Aspirations initiative, which aims to increase diversity and inclusion in artificial intelligence by engaging with young people aged 12 - 18 years and providing them with early exposure to AI for social good. The aim is to democratise AI and create opportunities for underrepresented talent through a combination of hackathons, boot camps, accelerators, expert mentoring and networking opportunities. Now in its 4th year, Teens in AI is running a two-week AI Accelerator for teenagers aged 12-18, where young people will have a chance to address climate change, health & wellbeing and education challenges. Originally founded by Elena Sinel, Founder of Acorn Inspirations, the initiative is a great opportunity for children to positively impact the AI of tomorrow. Diversity and inclusion is a huge goal for the organisation, as children from less privileged backgrounds often can't afford to attend the accelerator, a major part of Sinel's involvement is raising funds for them to be sponsored throughout the course.

Investment in artificial intelligence (AI) reached an all-time high in the first six months of 2019, as it was revealed that a Glasgow brain tumour detection firm will feature in the UK's first AI scale-up programme. AI funding for UK firms reached more than $1 billion (£810 million) in the first half, already surpassing 2018's 12-month total, according to entrepreneur network Tech Nation. It comes as the entrepreneur network unveiled the 29 firms accepted onto the UK's inaugural applied AI growth programme. The cohort includes Glasgow-based ClinSpec DX, which uses AI to provide cost-effective blood tests for the early detection of brain tumours. The UK is currently third globally for raising investment in AI, behind China and the US, and has the second-highest number of AI companies in operation.

The U.K. is currently third in the world for raising investment in AI and second for the number of AI companies in operation during 2019 (Crunchbase data). Still, 89% of the AI ecosystem in the U.K. consists of startups with 50 or fewer employees. Starting is not an issue, scaling is. "For the U.K. to maintain its authority in AI, we need to nurture scalable, globally-competitive, homegrown AI companies that solve real problems. Yet, the pool of AI-focused companies that achieve this beyond Series A remains slim, despite the hype, and the path to scale is uniquely challenging," comments Harry Davies, Applied AI Lead at Tech Nation.

UK artificial intelligence investment has reached record highs. Investment in AI technology grew almost six-fold from 2014 to 2018, with UK AI scaleups raising almost double that of France, Germany and the rest of Europe combined last year. As AI becomes more pervasive, 2019 is set to be another year of record funding growth for AI in the UK, building on four years of consecutive growth. In the first six months of this year, AI funding in the UK has already surpassed 2018's figures -- AI investment reached $1,021,642,595 in 2018 in the UK, but has already reached $1,063,012,777 in the first six months of 2019 (Source: Crunchbase). Based on these figures, the UK is currently third in the world for raising investment in AI, behind only China and the US and second in the world (behind the US) for the number of AI companies in operation during 2019 (Source: Crunchbase).

Investment in the UK's artificial intelligence (AI) companies has reached record levels after the first six months of 2019 saw more investment than the entirety of last year. Venture capitalists had ploughed $1.63bn (£1.32bn) into UK projects by June, surpassing the $1.21bn raised by the end of 2018 and marking a record year for AI funding growth, according to a report from industry body Tech Nation. AI funding has grown for four consecutive years in the UK, placing it third in the world behind the US and China. The UK has played a key role in fostering many notable AI and machine learning companies, including DeepMind, the prolific research lab purchased by Google in 2014 which has partnered with the NHS and Moorfields Eye Hospital to develop diagnostic models. The US has invested $9.7bn into AI thus far in 2019, compared to $8.6bn in 2018, while China is yet to surpass its 2018 total – backing $3.5bn to date compared to its $6.8bn spending last year. The number of AI companies operating in the UK has also grown, from 820 last year to 839 currently.